Market Size of Spice and Herb Extracts Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 7.30 % |
| Fastest Growing Market | Europe |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players.webp "Spice and Herb Extracts Market Major Players")
*Disclaimer: Major Players sorted in no particular order |
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Spices and Herbs Extracts Market Analysis
The global spice and herb extracts market is projected to grow at a CAGR of 7.3% during the forecast period.
Herbs and spice extracts that are more aligned toward health and wellness, as well as products that have a high penetration rate across artisanal food, culinary preparations, and generic household foods, are likely to maintain dominance over the coming years. Extracts such as ginger, dried capsicum/pimenta, pepper, curcuma, cinnamon, and cloves, have the highest potential for growth in the European market. The increasing demand for a diverse mix of herbs and spices, mostly related to the increasing popularity of ethnic cuisines and healthy foods, and the growing consumption of convenient, processed, and ready-to-eat dishes is expected to drive the demand for ethnic spice blends. Furthermore, most of the new products launched in the market are labeled as 'street food' to cater to a unique set of buyers.
The global food and beverage industry is witnessing a rapid change in eating preferences, and demand for botanical flavors is on the rise. Spice and herbs are demanded extracts to add flavors and innovate recipes in food and beverage applications. To meet this demand, companies are also equipping themselves. For instance, in 2021, Sensient Natural Ingredients LLC announced the acquisition of New Mexico Chili Products Inc., a dehydrated chili production facility in Deming, that processes capsicums and a variety of specialty chilies for commercial use and sale to CPG food manufacturers, spice blenders, and foodservice customers. With this acquisition, the company will be able to increase its sales volume across the globe.
The global spice and herb extracts market has experienced steady but sluggish growth. This is mainly due to continuous developments in recipes and beverage flavors. Further, increasing preference for botanical flavors among consumers, an increasing number of consumers eating out, and a wide range of applications of spices and herbs extracts are propelling the demand for the market. However, inconsistencies in the prices of spices and herbs and the high cost of production are affecting the growth of this market. Finally, the increasing demand for variations in flavored food products is creating a growth opportunity for the spice and herbs extracts market.
Spices and Herbs Extracts Industry Segmentation
Spice and herb extracts derived from natural or organic flavor sources in the plant.
The global spice and herbal extracts market is segmented by product type, application, and geography. By product type, the market is segmented into Celery, Cumin, Chili, Coriander, Cardamom, Oregano, Pepper, Basil, Ginger, Thyme, and Others. By Application into Food Applications (Dairy, Meat & Poultry, Dressings, Soups and Sauces, Snacks and Convenience Food, and Other Food Applications), Beverage Applications (Tea and Herbal Drinks, Alcoholic Beverages, Soft Drinks) By geography, the scope includes North America, Europe, Asia-Pacific, South America, and Middle East & Africa. For each segment, the market sizing and forecasts have been done on the basis of value (in USD million).
| Product Type | |
| Cumin | |
| Celery | |
| Chili | |
| Coriander | |
| Cardamom | |
| Oregano | |
| Pepper | |
| Basil | |
| Ginger | |
| Thyme | |
| Cinnamon | |
| Other Source Types |
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| Pharmaceuticals |
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Spice and Herb Extracts Market Size Summary
The global spices and herbal extracts market is poised for significant growth, driven by the increasing consumer preference for health-oriented and flavorful food options. The market is characterized by a rising demand for ethnic cuisines and convenient food products, which is propelling the popularity of spice blends. Key extracts such as ginger, pepper, and turmeric are gaining traction, particularly in Europe, where there is a strong inclination towards organic and health-promoting ingredients. The market is also witnessing a surge in the consumption of spices due to their recognized health benefits, including antioxidant properties and potential disease prevention. This trend is encouraging food manufacturers to innovate and expand their product offerings to cater to health-conscious consumers.
Europe stands as the largest market for spice and herbal extracts, with a robust import demand from regions like Asia-Pacific and the Middle East. The region's mature market is driven by a growing interest in organic and chemical-free food products, as well as the increasing popularity of ethnic foods due to globalization and tourism. The competitive landscape of the global market is marked by the presence of major players such as Kalsec Inc, Kerry Group plc, and Olam International, who are actively engaging in mergers, acquisitions, and strategic partnerships to enhance their product portfolios and expand their market reach. These developments, coupled with the rising consumer awareness of the health benefits of spices, are expected to sustain the market's growth trajectory in the coming years.
Spice and Herb Extracts Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.2 Market Restraints
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1.3 Porter's Five Forces Analysis
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1.3.1 Threat of New Entrants
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Bargaining Power of Suppliers
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Product Type
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2.1.1 Cumin
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2.1.2 Celery
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2.1.3 Chili
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2.1.4 Coriander
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2.1.5 Cardamom
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2.1.6 Oregano
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2.1.7 Pepper
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2.1.8 Basil
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2.1.9 Ginger
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2.1.10 Thyme
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2.1.11 Cinnamon
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2.1.12 Other Source Types
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2.2 Application
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2.2.1 Food Application
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2.2.1.1 Dairy
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2.2.1.2 Meat and Poultry
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2.2.1.3 Dressings, Soups and Sauces
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2.2.1.4 Snacks and Convenience Food
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2.2.1.5 Other Food Applications
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2.2.2 Beverage Applications
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2.2.2.1 Tea and Herbal Drinks
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2.2.2.2 Alcoholic Beverages
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2.2.2.3 Soft Drinks
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2.2.3 Pharmaceuticals
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2.3 Geography
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2.3.1 North America
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2.3.1.1 United States
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2.3.1.2 Canada
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2.3.1.3 Mexico
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2.3.1.4 Rest of North America
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2.3.2 Europe
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2.3.2.1 Germany
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2.3.2.2 United Kingdom
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2.3.2.3 France
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2.3.2.4 Spain
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2.3.2.5 Italy
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2.3.2.6 Russia
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2.3.2.7 Rest of Europe
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2.3.3 Asia Pacific
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2.3.3.1 China
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2.3.3.2 India
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2.3.3.3 Japan
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2.3.3.4 Australia
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2.3.3.5 Rest of Asia-Pacific
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2.3.4 South America
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2.3.4.1 Brazil
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2.3.4.2 Argentina
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2.3.4.3 Rest of South America
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2.3.5 Middle East & Africa
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2.3.5.1 United Arab Emirates
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2.3.5.2 South Africa
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2.3.5.3 Rest of Middle East & Africa
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Spice and Herb Extracts Market Size FAQs
What is the current Spice and Herb Extracts Market size?
The Spice and Herb Extracts Market is projected to register a CAGR of 7.30% during the forecast period (2024-2029)
Who are the key players in Spice and Herb Extracts Market?
Kerry Group plc, Döhler Gmbh, Givaudan , Olam International and Kalsec Inc are the major companies operating in the Spice and Herb Extracts Market.
